To sell a house quickly you simply need to price it right, market it and make buying it as appealing as possible to buyers and Realtors alike. Here are eight strategies for selling investment properties quickly:
1) Price the home below the competition.
Price is the single biggest factor in how quickly a house sells. As a real estate investor, you need to move houses quickly. And a low price is the simplest and most effective way to create interest in a property – and get offers. Don’t get attached to making huge profits on every deal. It’s much better make deals quickly, and to close more deals as a result.
2) Market, market, market!
If you are using a Realtor to sell a house you are getting great visibility on the RMLS, and this is still the most effective advertising for a property. However, since the majority of properties for sale are listed on the RMLS, additional marketing can be the difference between a quick sale and six months with no offers. For example? Put ads on free websites. Consider a letter to neighbors telling them about the property. Have a party at the house to create some buzz and interest. In short, be creative and apply strategies to get maximum exposure and build excitement.
3) Remove personal items that distract buyers.
While this isn’t usually a big issue for investment properties, try to remove all items that are unusual or attract attention to themselves. Buyers are often distracted by items with lots of personality. This makes it harder for them to focus on the house itself, and less likely they will make an offer.
4) Stage the house.
As a real estate investor, you are probably good at visualizing how homes could be arranged, even when they are empty. The couch will go under that window. The TV will look great in that corner. And a nice antique table will really make the entry feel inviting. But buyers often have a hard time imaging this for themselves. Staging a house with furniture and decorations in key areas can help buyers envision living there. This makes them feel more emotionally connected, and more likely to make an offer.
5) Decorate with neutral colors.
Painting and decorating with neutral colors will make the house desirable to the largest pool of buyers. Yes, some people will like a pink bathroom or a bright red kitchen. But the group that likes it will be much smaller than the group that hates it. Play the odds and go with neutral colors.
6) Get a professional whole-house inspection.
Consider paying for a professional inspection before you put a house on the market. This will help speed the negotiating process by clearly defining the house’s condition. In addition, an inspection sends a signal to buyers that you are professional, trustworthy and prepared to close the deal quickly.
7) Sweeten the pot for realtors.
Good Realtors try their darndest to represent their client’s interests. But, Realtors are human and they want to make money. Offering extra incentives encourages Realtors to work just a bit harder to sell your property. Consider increasing commission by a half point to the buyer’s agent. An extra half percent commission will only cost you $1000 on a $200,000 property. That’s a bargain if it helps get the house sold months faster. Or, try including a bonus if the house closes by a certain date. Sufficient incentives make Realtors want to sell your house over others that are similar.
8) Sweeten the pot for buyers.
Like Realtors, buyers can be swayed by incentives. Consider paying closing costs or offering additional monetary incentives like painting or carpet allowances. Or, install high-end appliances and offer to leave them. Buyers are often strapped for cash, and anything you can do to ease this burden makes your house more desirable.
The basics are easy to implement.
Really, the basic strategies to sell an investment property quickly aren’t very complicated. Price the house below the competition. Take extra steps to market the house. Remove items that will distract buyers, and paint and decorate with neutral colors. Stage the house with some furniture and decorations. And finally, offer incentives to the buyer and Realtor. Implement all of these steps and your property will sell much faster.